Australia’s largest auction house, Ray White Group, today saw buyers out in strong numbers across the country with more than 4000 people attending it's 179 auctions nationally today.
The leading group's own data showed there was a strong number of 3.6 registered bidders per property nationally and Sydney's early preliminary clearance was a healthy 76 per cent.
Ray White NSW Chief Auctioneer Alex Pattaro said buyers were definitely feeling confident given this recent spike in the market and on the back of the new APRA determination.
“We believe this will lead to even higher activity and competition in the market as most buyers will have an increased financial capacity,” Mr Pattaro said.
The prudential regulator told lenders on Friday they can immediately change the way they assess customers' ability to meet mortgage repayments in Australia's new low-interest paradigm.
The Australian Prudential Regulation Authority flagged two months ago it would eased serviceability requirements by no longer expecting banks to ensure customers could still repay their loan if its interest rate increased to at least 7.0 per cent.
From Friday lenders can set their own minimum interest rate floor and make their calculations using a 2.5 per cent buffer, which the prudential regulator has acknowledged could mean some people secure larger loans.
The top auction sale of the week was by Ray White Elizabeth Bay, for the second week in a row. Congratulations Nick Thompson and Scott Hawkins.
Ray White Castle Hill agent Karl Anthony said the auction of 1 Girralong Ave, Baulkham Hills was incredible with 60 people in attendance, among them a whopping 19 registered bidders and they were all active.
“It was mental! Great auctions happens when you create competition and that’s what we did,” Mr Anthony said of the property which sold for $1,050,000 under the hammer. The location was excellent and the well presented house on 720sqm had dual street access. “A better location would be hard to find,” Mr Anthony said.
Agent Jack McGhee oversees the buyers at 47/95 Euston Rd Alexandria[/caption]
In Alexandria, some 40 people turned up to see this cool one bedroom apartment at 47/95 Euston Rd Alexandria sell today for $623,000 by Ray White Surry Hills duo James Natoli and Jack McGhee.
Mr Natoli said there were 11 registered bidders and six of them were active in the auction which saw veteran auctioneer James Keenan take the opening bid of $510,000. It’s quite rare to see a double height void, loft style, contemporary space with one bedroom and it soared passed its price guide of $550,000 as the Surry Hills agents has created a lot of competition among buyers.
The agents had welcomed 50 groups through in a short intense campaign. The strata fees are a very reasonable $550 per quarter. The new buyer will move in soon and she’s said to be very excited.
In Rozelle, a local builder today bought this vacant corner 255sqm block with DA approval for a three bedroom home at 40 Moodie Street for $1,275,000 through Ray White Balmain. Ray White NSW Chief Auctioneer Alex Pattaro said there were two registered bidders but only one bid. “One bidder opened the bidding at $1.2 million and then increased to $1.275 million,” he said.
Ray White Lakemba director Navid Nawaz also sold this big three bedroom brick home with a two bedroom granny flat at 1 Eulda Street, Belmore for $980,000 today. ‘The price was well excess of the reserve price, with seven registered bidders. The opening price was $800k and the bidding was highly competitive right to the end,” Mr Pattaro said. An investor purchased this property.
On Thursday night, this renowned dairy farm in the Illawarra region - which had been in the same family’s ownership for over 100 years - sold for $2,025,000 through Ray White Albion Park director Rob Linnehan.
With expansive views over the Jamberoo Valley, Saddleback Mountain and beyond the farm is considered high quality heavy carrying country in a high rainfall area. The property was approximately 70 per cent cleared pasture slopes and balance timbered rain forest. There was a brick residence and dairy buildings consisting of five bedrooms plus office, two bathrooms, large kitchen, dining and family room, timber deck on two sides, 18 solar panels, double carport and 100,000L concrete tank.
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Ray White Victoria and Tasmania Chief Auctioneer Matt Condon said Victoria's real estate market continued to strengthen.
"Buyers are sellers are both displaying a high level of market confidence. The clear weather today brought out plenty of auction spectators and it's great to see that when properties are being announced on the market, we are seeing another wave of bidding activity and properties are selling above their reserve prices. All in all, Ray White Victoria is again shaping up to have a very strong auction clearance rate," Mr Condon said.
And now to Forest Hill, where Ray White Forest Hill director Hugh Francis has had a cracking day. “Interest rates are down and buyer sentiment is up and the market is showing signs that it’s going to take sign off like a rocket ship,” Mr Francis said.
At 46 Victor Cres, Forest Hill some 150 people crammed in to see this brick veneer home sell for $988,000. “I was blown away by the response to this property, we had more than 200 groups through to inspect and we were expecting to sell for around $825,000 but we had 10 registered bidders and they pushed the price up to $998,00,” Mr Francis said, who was also the auctioneer.
The vendor, the original owner too, will now move closer to family in in NSW. The new owner recently sold about three suburbs away and had been renting and looking to buy.
At 143 Mahoneys Road, Forest Hill some another 100 people attended the auction of this classic three bedroom brick home on a 58sqm corner allotment. “The opening bid was $750,000 and it sold for $927,500,” he said. A retiree is moving after selling up in a nearby suburb.
Auctioneer extraordinaire and Ray White Cheltenham sales agent Angela Limanis called her own auction at 17 Allnut Parade, Cheltenham and sold it for $880,000. “The early interest knocked my socks off in the beginning but there’s simply a lack of houses to buy, stock is so low. That first weekend I had 43 groups and by the end we had 101 groups through,” she said.
There were five active bidders and the auction opened at $700,000 and the reserve within the guide range of $750,000 to $820,000. “Several $100 bids even made an appearance and the winning buyer actually backed out and walked off from the auction at around $870,000 and re-emerged just in time to buy it at $880,000,” Ms Limanis said.
“Confidence is coming back, you could feel it almost immediately after the election and we are now getting lots of offers in early, before the auction, but if the interest is genuine you have got to always go to auction.”
On the Gold Coast, this modest fibro beach shack on the surfside at Bilinga - consisting of four two bedroom flats in original condition - sold today at auction for $1,936,000 through the group’s southern Gold Coast specialist Troy Dowker of Ray White Mermaid Beach.
More than 50 people gathered for the 9am on-site auction of 124 Pacific Parade, Bilinga, including five registered bidders and all of them had a go at securing this exceptional beach front property.
The flats on 506sqm return $1,160 per week in income each week and the new buyer was a high profile local businessman who will now weigh up the site’s future development plans.
Mr Dowker said the units generated a good rental yield in their current state. There were three ground level units plus one top floor unit which had a small porch to enjoy ocean views and the sea breeze. Ray White auctioneer Nigel Long announced the property on the market at $1.82M and bidding continued up to $1.936M.
Ray White Queensland Chief Auctioneer Mitch Peereboom said the market was now well into the winter selling season and the group was looking forward to seeing the results over coming weeks
"There was lots of wet weather in Brisbane today but you wouldn't know it given the high auction attendance and open home attendances today. We saw a few high end sales today which is showing confidence in that market but it's the $400,000 to $600,000 first home buyer price bracket is the standout, " Mr Peereboom said.
This stunning Queenslander at 17 Oliver St, Wooloowin attracted a lot of attention during its five week campaign through Ray White Ascot. Agent Nick Kouparitsas ran a textbook campaign with 67 groups through to inspect for his buyers - may of which were locals or interstate buyers.
“It’s on a big block, within the sought after Eagle Junction State School catchment which was always attractive to people. We had six registered bidders - and four of them were active,” said the former NRL player turned agent who used to play for Canterbury Bulldogs & the Sydney Roosters.
“It’s actually a very similar life, work hard during the week and then it all happens on game day. For me it was an easy transition to real estate, I have always had the same work ethic.”
Ray White Albion owner and auctioneer David Treloar took the opening bid of $1 million and things moved quickly up to sell at $1.475 million. The new owners have moved to Brisbane from Melbourne and they fell in love with this elevated classic home on 830sqm.
In Adelaide, Ray White Woodville owner Peter Kiritsis said the stone-fronted cottage at 12 Robert St, Croydon - in the heart of the West's favourite cafe strip and the shortest rail commute of all - just sold for $600,000.
In front of a crowd of 25 people, there were two registered bidders keen on this four bedroom cottage on a quintessential Croydon streetscape.
“It’s all leafy overhangs and character gems in this area, and after 48 years of one family’s loving the property has now changed hands.”
